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New Zealand's weekly whinge. Consumer affairs that blends investigative journalism and good advice to ensure Kiwis get a fair go.

  • 1Consumer NZ launches petition to combat grocery prices.

  • 2How to avoid buying a lemon with Fair Go’s car buying guide.

  • 3Is the hype around ‘zero gravity’ furniture real?

Primary Title
  • Fair Go
Date Broadcast
  • Monday 9 May 2022
Start Time
  • 19 : 30
Finish Time
  • 20 : 00
Duration
  • 30:00
Series
  • 2022
Episode
  • 12
Channel
  • TVNZ 1
Broadcaster
  • Television New Zealand
Programme Description
  • New Zealand's weekly whinge. Consumer affairs that blends investigative journalism and good advice to ensure Kiwis get a fair go.
Classification
  • Not Classified
Owning Collection
  • Chapman Archive
Broadcast Platform
  • Television
Languages
  • English
Captioning Languages
  • English
Captions
Live Broadcast
  • Yes
Rights Statement
  • Made for the University of Auckland's educational use as permitted by the Screenrights Licensing Agreement.
Hosts
  • Hadyn Jones (Host)
  • Pippa Wetzell (Host)
Captions were made with the support of NZ On Air. www.able.co.nz Copyright Able 2022 - Tonight ` tired of paying too much at the checkout? There may be a solution. - Let's see if I can get anywhere. - People are really concerned about it. A lot of people are struggling to make ends meet. - Heard of the phrase 'zero gravity' being used to sell things? Well, we bring it down to earth. - If there was zero gravity, we'd all be floating around and bumping into each other. - And it's the number-one bugbear in our inbox ` how to avoid buying a lemon. - Go for something that's economic and cheap to run. Like, you don't need to get the most expensive car for a first car. - Tena koutou katoa. Welcome to the show. Sometimes it's the little things, but not tonight. This one's a biggie; it's affecting all of us. - We've all been worried about the runaway price of groceries. Can anything be done to stop it? Fair Go thinks yes ` hell yes! Here's Gill. # Everybody. # - GILL: Doesn't matter who you are, where you live, or what you earn... because we all need food to eat. - People are really concerned about it. A lot of people are struggling to make ends meet. - And while everyday Kiwis feel the pinch, the supermarkets make the profit. - Making a profit is business. That's a completely reasonable thing. What the Commerce Commission study found was that the supermarkets are making around $1 million excess profit each day. So, to put that into real terms for a household, every year, they are paying approximately $1000 to $1200 more than they should be. - You might think the profits are spread between lots of different companies, but just two giant ones have the lion's share ` Foodstuffs owns two big chains ` Pak'nSave and New World, but also Four Square. And Woolworths is well-known for its Countdown stores, but also has SuperValue and FreshChoice under its wing. So forget Monopoly ` this is Duopoly. - Gidday, Gill. How you doing? - Nice to meet you. - Gidday. How you doing? - I've got us a game of Duopoly to play. You can roll. 'Let's say we're new players wanting to break into the New Zealand market.' - FreshChoice Otahuhu. Ah, that's owned by Woolworths Australia. - 'The big two already have a stake in every location.' - Six, seven, eight. Countdown Pokeno. - See if I can get anywhere. 'So, how to break through?' Tex Edwards knows how to play his hand better than most. His company, 2degrees, broke into the mobile phone market, which was dominated by Vodafone and Spark. But he says with the grocery sector, there's no way in. - We feel that there's quite a serious amount of work to be done to work out how you would break up this duopoly. Two supermarket chains is not creating competition. - And look over here ` it shows how some areas get pretty much controlled by a single major player, like the suburbs to the west of central Auckland. - Ponsonby, Herne Bay, Grey Lynn, Westmere ` you're only serviced by Countdowns. And Countdown are building more stores in this district to just further entrench their` their district. - Here, it's possible for large operators to prevent competitors from leasing land in the same area ` a practise called land banking that's no longer allowed over the ditch. - These behaviours that have been banned in Australia for 15 years have been perpetuated against the New Zealand consumer. - Back in March, changes to the rules of play were recommended by the Commerce Commission. This included an end to land banking. But some feedback criticised the proposed changes, saying they didn't go far enough. Social agencies called them ` - To resolve the matter commercially, you need to break down the market power. - 'There are lots of calls for fairer pricing...' and we're guessing you think that's pretty important too. So, Fair Go's highlighting the Consumer NZ campaign to convince the government to take action to help New Zealanders get cheaper food. - Consumer NZ does not think that the Commerce Commission recommendations go far enough. We don't think that there's going to be more competition, and food is really a major concern. Consumer NZ feels like the key to competition in the grocery sector is enabling access to wholesale. - Wholesale means items sold in bulk at low prices. Most wholesale in New Zealand is controlled by the two big players. Small operators like dairies have little access. - So we think that there should either be mandated wholesale access ` that would mean that the supermarkets would have to allow access to other players ` or a state-owned wholesaler, which would be operated by the government. - This could be a game changer for small operators. Ever wondered where they get lots of their goods from? Like you and me, they often have to go to the supermarket. - It's really nuts. So that's where` then the dairies, you know, after buying those goods, they have to obviously put their own margins on top of it, and that is creating an unfair market. - So if that wholesale market was opened up, how would that benefit you? - In that way, there would be a fair competition. - And the cost saving could be passed on to customers. - We do have the convenience stores, the dairies, which are more than 4000 outlets in New Zealand, and we have more than 1000 gas stations. So they are the real answer that we could see; they can deliver the goods locally, they can buy locally from the suppliers, and also that would add as a help to reduce the emissions. - Back to the game in progress. Could wholesale change help other small independents? - Farro's fantastic. It's the best example of a innovation turbocharger in the grocery sector. But it is a small boutique store, and until Farro can turn up in Wellington and say, 'We're gonna roll out 150 stores,' it can't be considered as a monopoly break-up tool, because every supermarket operator needs scale. - One, two, three, four, five, six. Damn. I'm trying to get that space in Pokeno like you. 'But even if I had the money and found a bit of land, 'Tex Edwards says it wouldn't make me a serious competitor.' It's not a valid economic proposition that you can just start a chain of supermarkets with one supermarket. - OK, we're not really getting very far, are we? (CHUCKLES) - No. What needs to happen is we need central government intervention. - Tex Edwards reckons the solution is for the government to make Foodstuffs and Woolworths sell some of their stores. He says we don't need more supermarkets; we need a mix of ownership. - It's totally possible that New Zealand could have three or four sustainable like-for-like supermarket operators that would benefit consumers. It would benefit innovation. The game's up. - And this is where you can get involved and play your part. - Consumer NZ has a petition. It's to stop the superprofits. We really need everyone to get on to that petition and to sign it. We will be taking that to David Clark. - 'That's the Minister of Commerce and Consumer Affairs.' So what happens if no action's taken? - People could just keep paying these high prices at the supermarket, and we think, with how things are, no one can afford that. - So what do the supermarkets have to say about these issues? Here's Gill again. - I went to both the supermarkets ` for my shopping, but also to get their responses on the points being made. For a start, they both believe their profits aren't excessive. In fact, they point out that the Commerce Commission said ` and they mentioned the ` And Foodstuffs says that ` Both operators say the changes suggested by the Commerce Commission will significantly impact competition. They say they're making it a priority ` things like changes to land banking. Woolworths says it ` Foodstuffs says it's ` As for wholesale supplies, Woolworths says it's not set up for changes yet, but it's working on it. Foodstuffs says it's ` ...to suit more retailers. And then there's monopolising areas, like those suburbs just on the west side of Auckland central. Woolworths believes there's strong competition already in the form of smaller operators like Farro's, and says there's a New World nearby. So there you have it ` the big two say they're happy to work with the Commerce Commission's recommendations, but those in our earlier stories say for real competition, much stronger action is needed. - It's such a massive issue, isn't it? Look, that Consumer NZ petition will be launched tomorrow, so do look out for it. - And 'checkout' ` see what I did there? ` the grocery price comparison website, grocer.nz. It helps you shop around. - E haere ake nei ` coming up ` you may have heard the phrase 'zero gravity'. It's used to sell a range of products, but what does it actually mean? - That can't be right, because there's no such thing as zero gravity on Earth. - And buying a car ` we get tips from one of the country's biggest car yards on how to avoid buying a dunger. - Tell me, why are you selling? - Oh, well, it's... (STUTTERS) - So no issues that you're aware of? - Nau mai ano. Thanks for watching, friends. - If you've been looking for the ultimate piece of comfy furniture, you may have heard the marketing phrase 'zero gravity.' It's being bandied around to sell a number of products, and it certainly caught the eagle eye of our next viewer. - Sure did; enough to get him out of his own armchair and on the line to Fair Go. So what does it mean, and can we actually find ourselves some zero gravity? Here's Kaitlin. - KAITLIN: Only a few have had the chance to feel it. - # I wanna feel weightless, and that should be enough. # - But hold on. We're told now anyone can become an astronaut from... their armchair. - VO: Zero gravity position. The zero gravity button that places your body in a simulated weightlessness position similar to an astronaut in space. - Oh, that's a load of crap. - John is no customer. - (GROANS) That ain't right. - But he's been seeing these ads on the telly. - The second time, I thought, 'Oh... that can't be right, 'because there's no such thing as zero gravity on Earth.' - John used to be an avionics engineer. - Being in the aviation world, we deal with gravity and we deal with G and all that. - So he wants marketers to tell it like it is. - If there was zero gravity, we'd all be floating around and bumping into each other. - 'Zero gravity's become quite the buzzword. Apparently, we can experience it outside, on the road, at full throttle... (AIR BLOWS) ...or at ease. So, to bring this concept back down to Earth for a minute, we asked a professor for a refresher on physics. (SIGHS HAPPILY) So this is zero gravity, Richard? - It must be. Not falling through the sky, though, so... (laughs) I don't know what's going on. - Well, let's pin one thing down ` John's right; zero gravity doesn't exist. - There's plenty of gravity in space. What they really mean is, is that we're not fighting against gravity. So, you, and the spacecraft and... that you're inside of, you're moving exactly as gravity wants you to move. And so, in that way, you float freely inside of your environment. - Chair- and bed-makers, on the other hand, are talking about a zero-gravity position, which is actually a fancy term for what NASA calls neutral body posture. That's the position astronauts were seen to end up in while floating around in space. - ASTRONAUT: And lift-off. - NASA use this to improve spacesuits and flight systems. Although, research since has found there are actually a number of different weightless positions. - The marketing ploy, I think... yeah, it's kind of a little` a little on the edge, I would say. - Then there are claims the zero-G position is based on how astronauts are seated before lift-off. Hmm. They might wanna add a few more Gs. So that's not zero gravity? - Absolutely not. That's the absolute opposite of zero gravity. Like, during lift-off is like riding a roller coaster that never stops. And the reason they're in that position is to stop them from feeling a huge pressure point in any one part of their body. - So either the position is about even weight distribution or not having weight at all ` it's not clear. And neither are the so-called health benefits. Let's go back to those ads at John's place. In the TEBO chair, it's claimed the zero gravity position is... - VO: ...proven to alleviate pressure in your lower back and help with sore muscles. - And when a person lies on a Bambillo bed, it... - VO: ...places your body in a simulated weightlessness position. - Its website claims the position relieves the pressures of gravity by distributing your body's weight evenly for just the right amount of support. - Well, I'm always initially sceptical of any claims of health benefit for a product without more information about what those claims are based upon. - Dr Ben Darlow's a physiotherapy specialist. He hasn't seen any work published on zero gravity or neutral body posture, but outer space has taught him one thing. - Being weightless has really negative effects on health, and astronauts actually have increased risk of back pain and bone fracture when they return to Earth. - He says there's no hard evidence about any particular posture being good for a person's health. - And actually, what the research would suggest is that exercise is the best thing you can do for improving your health. - We've had... zero response on this from the marketing company of the TEBO and Bambillo brands. We called and emailed Brand Developers ` again and again ` but no one got back to us. But major sofa store La-Z-Boy was happy to weigh in, saying they're just one of many retailers using the term 'zero gravity'... which leaves us here on Earth still looking for something close to the real thing. Even without the science, lots of places still use outer-space lingo to sell experiences, like here at Velocity Valley in Rotorua, where you can, quote, 'feel the force of zero gravity'. Technically, gravity's still bringing them down, while at the same time, 200k wind speeds per hour are blasting back up. - A huge amount of wind pressure is gonna come up underneath you and give you that lift-off. We'll have a flight master that's in the cylinder with the customer, but essentially, it's a huge hairdryer. - Do you think using the term 'zero gravity' could be misleading? - For myself, uh, no. I mean, myself and probably most of the population would consider zero gravity as flying or floating. It's just a fun time. Experience zero gravity ` in our terminology, that's what it is. We're happy with that. - So, less astronaut, more... superhero. (EPIC MUSIC) Whatever you wanna call it, it felt pretty epic. Whoo! But John isn't falling for anything. - No. I'm too old to float away. (LIGHT-HEARTED MUSIC) - Katie looked very glamorous when she was flying, didn't she? - She looked great. I don't know about` - More glamorous than we do right now. - I'm all about this. This is very comfortable. - This is comfy. All right. (STRAINS) Can I sit up? E haere ake nei ` coming up ` from the deck chair to the driver's seat. We've got some hot tips to take the heat out of buying your first car. - What about service history? And warrant of fitness? Has it got a warrant of fitness? - (STAMMERS) - Kia ora ano. Nice to see you. Whether you're buying your first car or your 14th, you can still fall into a lot of traps. We know cos we hear all about it from you. - We sure do. We get a ton of emails and feedback from people who have run into a whole heap of trouble when buying a car, so with some advice, here's Garth. (CHEERFUL MUSIC) - GARTH: At Albany Senior High, these three are studying for life outside the classroom. - I could see you driving that. - Their school offers classes in what it calls Adulting 101. - See, look, this one's got 80,000 K's. - Today's lesson ` buying your first car. - That seems too good to be true. (LAUGHS) - There's a lot to learn. Every week, the Fair Go inboxes are packed with sorry tales that began at a car yard or in a driveway and are headed to the Disputes Tribunal or going nowhere. To be honest, it's revision for these guys. Each one of them has already taken the plunge about 11 months ago and bought their first set of wheels. - I bought the car for 5 grand. - 7 grand. - I paid 5800 for it. - Rebecca went to a lot of car yards. - I knew that I wanted a small and economic car. We took it for a test drive, and it had a pretty good history on it. - Mackenzie bought private, but not from a total stranger. - The car we bought off one of my dad's colleagues. Well, we knew that they didn't really drive it around a lot cos it was just one of their, like, back-up family cars. - Matthew carts around a lot of sports gear. - So I knew I really wanted a car that had lots of space. We took it to one of our family friends who does car maintenance. He helped us out. He looked around at it and made sure everything was safe. - 'None of them has had any problems yet. But...' ...your first car can become your first big consumer headache, so just like a defensive driving course can help keep you out of trouble, maybe some defensive buying advice is what we need now. - # Cars, cars, cars. # (HEAVY BASS MUSIC) - No, not from Tina. She's an actor. This is Greg Hedgepeth. He's the boss at Turners Cars. They sold him his first waka. - With my father. He helped me buy the car at auction ` a little Honda Civic. - Now, Greg's agreed to let me try to sell him a car so you can hear the kind of questions a pro asks when they're buying. - Yeah, she looks all right. - He's softening me up. - Was there any accidents or anything that went on in Japan that could affect the performance of the car? No, the dealer didn't mention that? What about service history? - He's probing. - And warrant of fitness? Has it got a warrant of fitness? - (STRAINS) I need to get it sussed out probably in a couple of weeks' time. - OK. OK, yeah, I certainly would want a warrant of fitness before I would consider purchasing the vehicle, for at least six months. - Then, the ouch question. - Tell me, why are you selling? - Oh, well, it's... (STUTTERS) - So no issues that you're aware of... - No. - ...in regards to the vehicle? - And to be sure... - Would you mind if I got a pre-purchase inspection done on the vehicle? - A pre-purchase inspection is when you book an independent assessment with a mechanic. It might cost you $100 to $200, and you might need to take the car to them. If the seller's reluctant to let you get one... - That's definitely a red flag, I would say. - Even with that inspection, there are no guarantees, which is when Fair Go hears about it. - It is difficult to find every issue in a car. There's a lot of mechanical working pieces. A lot of those are encased. And aside from actually taking apart the engine or taking apart the transmission, it's really difficult to know. - So your best protection might be to know your rights. If you bought from a dealer... - It comes down to what's fair and reasonable in relation to the age of the vehicle, the mileage, the condition of the vehicle. That is shown by, I guess, the price that was paid for the vehicle. So, when looking at all of those things, you have to say, is it fair and reasonable that this car would have this issue within that time frame since purchase? - For our trio, it's been a year of trouble-free motoring, so would they still feel confident to go back to the seller now with a problem? - Probably not now, because I have had it for a wee while. - No, I wouldn't, actually. No, I` well, I've had it for almost a year. - Possibly ` if it was really big, something that could have been there when I got it, then I'd definitely consider it. - Sounds fair and reasonable. Any last words of advice? - The biggest thing I'd say is know what you're looking for. - To save early and stuff like that. - Go for something that's economic and cheap to run. Like, you don't need to get the most expensive car for a first car. - They are so switched on, those kids. Good on them. Look, another little tip is research the dealer. This site, buyerscore.co.nz, has ratings from actual customers. Google also has reviews. Look at who's selling and what sort of track record they have for putting things right. - Unfortunately, that sort of info is much harder to find if you're dealing with a private sale, the old bargain on Facebook Marketplace or Trade Me, so that is something to keep in mind. Remember, kick the tyres. Give it a kick. - That's always so useful (!) Right, that is it from us for tonight. - Next week, take a look at this. Caught on camera, we've got dog poo, chair legs, household rubbish. People busted dumping in a skip bin. - That's next Monday, but we're here all week on all the usual platforms ` Facebook, Instagram, Tiktok. You can go to our webpage ` Email us ` Or write to us ` - Thanks for watching. We're gonna float outta here in our zero gravity shoes. Until next week... - BOTH: ...po marie.